Car Rental Business Plan Home

A car rental business plan is a plan to start and/or grow your car rental business. Among other things, it outlines your business concept, identifies your target customers, presents your marketing plan and details your financial projections.

There are a few types of car rental companies. Most are franchises of a large and successful rental company. There are also car rental companies that only focus on luxury vehicles. More people are renting high-end vehicles for a few days or when they go on vacation. There are also smaller-scale car rental companies that only operate in one city and are independently owned.

The primary source of revenue for car rentals are fees the customer pays when renting the vehicle. The fee will depend on the type of car and length of rental.

The key expenses for a car rental business are the cost of purchasing the fleet of vehicles, insurance, maintenance of the vehicles, and washing and detailing the vehicle every time it is returned. Other expenses are the overhead expenses for the leased location, utilities, website maintenance, and any marketing or advertising fees.

Car rental businesses are most likely to receive funding from banks. Typically you will find a local bank and present your business plan to them. Another option is the SBA as they provide viable loans for startup businesses.